Warren Buffett Buys Solar Farm in Arizona

MidAmerican Energy Holdings Company, which is owned by billionaire Warren Buffett, announced on Friday it agreed to buy a 1.8-billion-U.S. dollar solar farm in Arizona, betting on promising development of the solar industry.

MidAmerican Energy said it would acquire a 49-percent stake in the Agua Caliente solar project, a 290-megawatt photovoltaic power plant, from NRG Energy, but it did not disclose the price of the deal.

The solar plant, which is being constructed by First Solar in Yuma County, Arizona, is supported by a 967-million-dollar guarantee from the U.S. Department of Energy. The project is expected to be complete by 2014 and will generate enough electricity to offset about 5.5 million metric tons of carbon dioxide over 25 years.

This is the second solar project Buffett announced to buy this month. On December 7, MidAmerican said it had purchased from First Solar the 550-megawatt Topaz project, being built in South California.

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